There are many myths about getting post-bankruptcy auto loans. Believing these myths could make you hesitant to apply for after bankruptcy auto financing. Today we'll help to put your mind at ease by discussing some of these false beliefs.
Uncovering the Truth about Post-Bankruptcy Auto Loan Myths
A myth is an invented story, idea or concept. What makes myths dangerous is that they are often believed. Before you believe any stories you may have heard about getting a post-bankruptcy auto loan, get the facts below:
Myth #1 - You won't be able to get a loan
Many people believe that they won't be able to get a loan for 7 years after filing bankruptcy. You can get a loan during an open chapter 13 bankruptcy, or soon after your bankruptcy is dismissed.
Myth #2 - Loans are only for new cars
Many lenders offer loans for both new and used cars. In fact, you'll probably have an easier time getting a loan for a used car.
Myth #3 - You'll have to settle for a junker
Just because you've filed bankruptcy doesn't mean that you'll have to settle for a junker. There are plenty of affordable recent model pre-owned vehicles available.
Myth #4 - Applying for loans will make your credit worse
Credit bureaus know that people shop around for car loans. Doing this won't hurt your credit.
Myth #5 - Local lenders are the best
Sometimes local lenders aren't going to be willing to work with you. Obtaining bankruptcy auto financing online will often give you better results.
Myth #6 - Certified vehicles are always better
Since there are no standards for certified vehicles, it's important to know the dealership's inspection process and what is covered under the warranty.
Myth #7 - Everything needs to be installed by the dealer
Many things can be installed cheaper outside of the dealership. Always make sure to read over the warranty to make sure that anything being installed won't void it.
Myth #8 - Always trust the vehicle history report
Car owners don't always report accidents or damage to cars. A vehicle history report should always be followed up with an inspection by a certified mechanic.
Myth # 9 - The lemon law covers used cars
Unfortunately, only new cars are covered by the lemon law. Some dealers will give you a limited amount of time to return the vehicle if you aren't satisfied with it.
Obtaining Bankruptcy Car Financing
Thanks to the internet, it's easier than ever to obtain bankruptcy car financing. Here at BankruptcyAutoFinancing.com, we have a vast network of lenders who can help you get the auto loan you need. Simply fill out our online application to get started today.
Remember we are not lawyers and cannot give legal advice. The situations discussed are only our experiences over the years and may vary with each customer.